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As a knowledgeable professor in the field of finance, it is important to understand the concept of debt instruments. Essentially, these are assets used by entities to raise capital or generate investment income. They offer investors a fixed income through regular interest payments. These instruments come in various forms, including bonds, loans, mortgages, and certificates of deposits. In the financial market, they play a crucial role in providing individuals and companies with the necessary funds for their financial needs.
